Rent Control FAQs

By E-Renter Tenant Screening
Posted on January 18, 2007 under Landlord and Tenant FAQs | icon: commentBe the First to Comment

Q.1. What is rent control?

Ans. Rent control is a term applied to governmental laws and regulations that limit the rental amount or increase thereof, which landlords can charge tenants.

Q.2. How are rents and rental increases regulated through rent control?

Ans. Usually, a board is appointed by the Mayor of a city, with rent control laws in place to administer them. This board is responsible for determining the annual rental increases and the limiting of rental amounts.

Q.3. What are the kinds of rent control laws that are in place?

Ans. After the Second World War, it was only New York City that retained rent control laws. Late 1960 onwards, other communities began to adopt it as well, as it allowed automatic but limited rental increases, without requiring landlords to show an increase in their property maintenance expenses. If, a landlord carried out major repairs or experienced extraordinarily large expenses, a normal rental increase would not cover, he / she is allowed to petition for a larger rental increase on the basis of that.

Q.4. Which American states carry rent control laws?

Ans. Columbia, certain municipalities in Massachusetts, New York, New Jersey, and California, all have passed rent control ordinances, while on the other hand, certain legislatures have barred local rent control ordinances in their state municipalities.

Q.5. Are there state laws against rent control?

Ans. Certainly, about half of the state legislatures have forbidden municipalities to enact rent control ordinances, such as, when the voters of Detroit enacted rent control by referendum, the law passed by Michigan Legislature revoked the right of cities to adopt rent control laws.

Q.6. What is vacancy decontrol?

Ans. It is a provision of rent control and vacancy decontrol allows landlords to charge an increased rental amount, whenever a new tenant fills a vacancy by moving in. In actuality, vacancy decontrol is really an anti-rent-control provision, as within just a few years, new tenants in the same building could end up paying twice the rent, older tenants are paying. Vacancy decontrol, not only allows a landlord to collect more rent, it also undermines public support for rent control due to this unfair treatment.

Landlords, should make themselves cognisant with all rules and regulations before drafting a lease, and must take all necessary precautions, such as, screening tenants and conducting background checks on prospective tenants, including ensuring all promises in the rental lease are adhered to, as their insurance for a litigation free landlord / tenant relationship. A simple click of the mouse and any landlord or property manager can visit for tenant screening and background check services., the best tenant screening agency in America!

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